Property

Goodbye Cape Town – South Africans are semigrating to this coastal hotspot

Kirsten Minnaar • 1 March 2026

The KwaZulu-Natal South Coast is attracting semigrating homeowners seeking lifestyle benefits, affordable coastal property, and strong investment potential.

South Africa has entered 2026 with renewed economic stability and growing buyer confidence, creating a promising outlook for the property market.

For buyers and investors, the convergence of favourable interest rates, stabilising inflation, and strong regional growth has resulted in a compelling investment environment.

Serenity Hills’ Developer Reece Daniel noted that in 2026, regions like the KZN South Coast are emerging as high-value destinations.

“We’ve come through a period of uncertainty, but the country’s more stable power supply, strategic infrastructure investment, and exit from the grey list have created a more favourable climate for growth, with property emerging as a strong contender.”

“We’ve already noted a marked increase in buyer interest over the past few months, and we expect this trajectory to continue throughout 2026.”

After several years of market volatility, 2026 presents a notably different landscape. Interest rates have eased from their recent highs following a series of cuts.

At the same time, the South African Reserve Bank has maintained the repo rate at 6.75%, providing stability and predictability for those considering home loans.

“Stable interest rates give buyers the confidence to plan properly,” Daniel said. “Instead of reacting to volatility, people can make strategic decisions that support long-term financial security.”

“In regions like the KZN South Coast, which combine coastal lifestyle appeal with more accessible entry prices, buyers are unlocking even greater value.”

The KZN South Coast starts just outside Durban in the town of Amanzimtoti and stretches along 120 kilometres of coastline down to Port Edward.

It includes towns like Scottburgh, Hibberdene, Shelly Beach, Margate, Winkelspruit, St Michaels-on-Sea, and Ramsgate.

Buyers flock to the KZN South Coast

When it comes to high-value coastal investments, Daniel said the KZN South Coast is emerging as a standout destination due to three key reasons.

First, it offers good value for money. Compared to the KZN North Coast and the Western Cape, buyers can secure coastal property at significantly lower price points, without compromising on lifestyle or quality.

For context, the average listing price for one-bedroom properties in Cape Town currently listed on Property24 is R2.197 million. This shoots up to R11.9 million for four-bedroom properties.

On the KZN North Coast, one-bedroom properties are currently listed at an average selling price of R1.45 million, while four-bedroom properties are listed at an average price of R5.35 million.

In contrast, one-bedroom properties in KZN South Coast are listed for an average of R620,000 on Property24, and the average four-bedroom property is listed at just under R2 million.

Another important reason relates to lifestyle-driven semigration. Young families, retirees, and remote professionals are increasingly relocating from inland metros in search of space, nature, and improved quality of life.

With Blue Flag beaches, world-class dive sites, golf courses, and nature reserves, the KZN South Coast offers what many buyers are seeking.

Finally, Daniel noted that this trend is being driven by the visible confidence through investment in the region.

Billions of rand are being channelled into residential, retail, and tourism developments across the region, signalling strong future appreciation.

Infrastructure upgrades, including the revival of Margate Airport and plans for the Port Shepstone Small Craft Harbour, are expected to further enhance investor confidence.

Notably, Daniel pointed out that while local interest remains strong, the KZN South Coast is also seeing a growing demand from international buyers.

For example, Serenity Hills has seen interest from buyers in the Netherlands, Switzerland, Germany, the UK, the US, Canada, and neighbouring African countries, reinforcing its international appeal.